Mastercard envisages acquisition of Zero Hash amidst escalating competition for stablecoin payments
Mastercard (MA) envisages acquiring the blockchain infrastructure startup Zero Hash in response to intensifying competition in the stablecoin payments sector. The global payments giant is reportedly in advanced negotiations and may pay between $1.5 billion and $2 billion for the crypto firm, rapporte TopTribune.
This development arises as Mastercard may face setbacks against Coinbase in the bidding for crypto payments firm BVNK. The competition underscores the growing importance of stablecoins, cryptocurrencies tied to fiat currencies like the U.S. dollar, which aim to provide faster and cheaper alternatives to traditional banking systems.
According to a recent projection, stablecoin payment volumes could soar to $1 trillion by 2030, fueled by increased institutional adoption and growing cross-border transactions. The potential for such growth marks stablecoins as a key player in future global payment flows.
In this context, Visa has also announced plans to launch its tokenization platform, streamlining how banks issue and manage stablecoins. Stripe, another prominent player, recently acquired stablecoin infrastructure provider Bridge for $1.1 billion and is enhancing its capabilities by building its own blockchain rail with Paradigm.
Zero Hash has demonstrated significant growth recently, processing $2 billion in tokenized fund flows in just the first four months of 2025, driven by increasing institutional demand for on-chain assets. The startup secured $104 million in funding led by Interactive Brokers and Morgan Stanley in September, confirming its pivotal role in providing stablecoin payment infrastructure.
As competition heats up, Zero Hash’s response to Mastercard’s inquiries remains unconfirmed, as the firm has not yet returned requests for comments.
In summary, the race for dominance in the stablecoin market is intensifying, with major players like Mastercard, Visa, and Stripe seeking to position themselves effectively in a landscape poised for substantial growth.
